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A&O Shearman represents trustee and issuer on PEN1.25 billion securitization and bond reopening by the Metropolitan Municipality of Lima

A&O Shearman represents trustee and issuer on PEN1.25 billion securitization and bond reopening by the Metropolitan Municipality of Lima
Published Date
Oct 18 2024

A&O Shearman represented the trustee and issuer on behalf of the special purpose vehicle created for the securitization program of up to PEN4bn Alcabala Tax and Motor Vehicle Tax by the Metropolitan Municipality of Lima, Peru in connection with the consent solicitation and reopening of the 10.100% securitization bonds due 2043 for an additional aggregate principal amount of PEN1.25bn (approximately USD333 million), for a total of PEN2.45bn (approximately USD652m) principal amount outstanding.

We represented the trustee and issuer on the original bond offering in December 2023, which was the first-ever 20-year term bond offering denominated in Soles and the first-ever Lima government offering in the international capital markets.

The proceeds of the securitization bonds will be used to partially finance an additional portfolio of nine public investment projects that address Lima’s infrastructure and public service needs. The A&O Shearman team was led by partner Alejandro A. Gordano alongside associate Gonzalo Robles and visiting attorney Marcello Mammocci Pompilio.

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